This report reveals a deep and growing divide in school infrastructure funding in Australia. It finds that public schools in Australia are in need of urgent capital improvement and investment for the future. The report finds that this inequity is fuelled by the lack of federal funding for capital investment in public schools. 

Key findings

• Over the past decade private schools have outspent public schools on capital works by $38 billion, including $5.4 billion in 2023 alone.
• In some cases, single private schools spent more on building projects than entire public school systems in smaller states and territories.
• From 2017 to 2025 the Commonwealth Non-Government School Capital Grants Program has provided $1.6 billion in
  Commonwealth funding to private schools. By contrast, public schools receive no permanent federal capital stream.
• Capital investment in private schools averaged $2,746 per student per year between 2014 and 2023, compared with $1,237 per student in public schools.

Recommendations

1. Provide a significant and immediate injection of capital investment to public schools.
2. Create a permanent Commonwealth capital fund to ensure that all public schools have access to the funds they need to provide adequate and safe 21st century learning environments.
3. Negotiate a joint partnership with state and territory governments to invest in new and upgraded public schools and facilities.
4. Ensure that all public schools have access to funds prioritising purpose-built learning spaces and school facilities.
5. Work with and incentivise state and territory governments to ensure all growth suburbs have public primary and secondary schools that are open and accessible when residents arrive.
6. Ensure that the capital works required to implement the Thriving Kids initiative in public schools are funded through the initiative, not through recurrent or capital schools funding.